As everyone knows, the prices of puerh has been rising, rising, and rising. The reasons are many – more people are drinking it than ever before, and moreover, there are even more people who think it might be a good investment. I still remember when many cakes, new, could be had for a dollar or two. Well, those days are long, long gone. Back then, buying puerh to drink was a real value proposition – you can get decent tea for a small fraction of the price of a good oolong. These days, a good puerh probably costs more.
The problem is, like many other such goods, these days they are priced in such a way as to make it simply not worth it anymore. For example, recently I tried the Wisteria and Baohongyinji that was offered at both White2tea and Origintea. It’s not a bad tea – it has qi, for one, which is rare enough. It’s full, etc. It’s also ridiculously expensive, right in line with a real Bingdao gushu tea, and is absolutely not worth the money if you are thinking of buying cakes of it. These days real gushu teas routinely cost 2-3000 RMB a cake, and plenty of fake ones claiming to be real at least have real gushu prices, even if the leaves are not the real thing. This puts the tea simply out of reach of most people – ordinary or even not so ordinary folks. If you want, say, a tong of tea that costs 3000 RMB a cake, that’s 21000 RMB, or $3300 USD a tong for tea that is new. Frankly, that’s a lot of money, and given all the risks of storage that you run yourself if you store it – water, fire, mold, sun, etc etc, it’s almost insurance worthy.
Some tea producing areas are also slightly more worthy than others – Lincang, where Bingdao is located, happen not to be one of them. I find Lincang teas generally to be rather boring and subpar when compared with teas from the Yiwu or Menghai regions that are of similar level of quality. The prices of teas from Lincang used to be dirt cheap. Well, that isn’t true anymore.
I also get nostalgic when drinking some of my older teas that I myself bought and stored over the years, thinking that sadly, unless I pay through the roof, I won’t have teas of this type of quality to drink in the distant future. I had a Spring 2006 Bangwei the other day that I bought back when I was living in Beijing. It’s a wonderful tea, full of flavour and body and aging nicely. It cost me something like 150RMB a cake back then, which was a king’s ransom for a cake of new tea at that time. Now, the same thing, if made in 2014, would probably cost 1000 RMB or more a cake. It’s insane.
I wonder if this is sustainable – at some point, we’ll run out of buyers for these crazy prices and things might at least not get more expensive exponentially every year. It doesn’t mean prices will come down – we’ll never see 150RMB a cake for that Bangwei again. We might, however, see some of the more newfangled tea regions that command extraordinary prices come down a bit, especially if the aging isn’t going so well. For example, the Yuanyexiang which some of you know has been stagnant in price in the last few years, despite a heavy ramp up in prices of a lot of other teas. It can be found for about 1300 RMB a cake on Taobao, and they look to be the real deal. That’s a much cheaper price than a lot of new teas for a cake that’s over 10 years old now with some age. Why? Because it hasn’t really changed much in the last few years, and hasn’t really gotten much better. It’s a fine tea, and given the relative prices of new teas versus old, it might actually be a reasonable purchase again. As more and more older teas like this appear on the market, I wonder if it will keep a lid on new tea prices as people simply stop buying them. Of course, the same thing has been said years ago, and it hasn’t happened yet.
This is why I almost never buy new teas these days, and have also not bothered to sample many new teas – what’s the point if I am not in the market to buy them? I try a few every year, just to get my tastebuds going, but by and large, I no longer bother. I also find myself increasingly disliking the taste of new make puerh – when there’s so much older stuff I can have at my fingertips. Hopefully, perhaps, pricing adjustment will come, and not a moment too soon.